Lithuanian Railways to become Western-type company that creates value to state

“I believe that (Lietuvos Geležinkeliai) has a future of a normal, Western, transparently-managed, profitable company that brings a huge value-added to the state,” Skvernelis told reporters on Monday after meeting with Masiulis and Lietuvos Geležinkeliai CEO Mantas Bartuška.

The prime minister did not say when the company could meet these “Western” standards.

“I think the first steps have already been made as to the management of the company. The main goal of the company is to be efficient and make a profit,” he said.

Masiulis expects Lietuvos Geležinkeliai to achieve “Western” standards of transparency and efficiency by the end of the current government’s term.

“A new administration, new executives with Western experience are now being appointed, step by step, and the aim is to transform the post-Soviet enterprise into a modern, European one,” the minister said.

“I think we are going to have certain results within the first year, but we will see an efficiently operating company by the end of the term,” he said.

According to the minister, the main task now is to make the railway company’s operations more efficient and to improve its management.

Bartuška, who was then CEO of Klaipėdos Nafta (Klaipėda Oil), took the helm of Lietuvos Geležinkeliai in mid-December 2016 after Stasys Dailydka, who had held the post of CEO of the state railway company for ten years, resigned following Masiulis’ appointment as transport minister in the new government of Prime Minister Skvernelis.

More changes at Lietuvos Geležinkeliai followed, including resignations of three deputy CEOs and the replacement of the management board of the company and those of its subsidiaries.